Megawide says investors are ‘excited’ about its NAIA rehab offer

MANILA – Megawide Construction Corp said Monday that it has “fully complied” with the government’s requirements and that investors and lenders are interested in financing its bid to upgrade the Philippines’ main airport.

“Many of them are very excited and even pressure us to get this project done. We are very confident that we can get the funds for this project,” said Megawide President and CEO Edgar Saavedra.

Megawide said it can overcome financial concerns raised by the government over its P109 billion ($ 2.2 billion) proposal to renovate the Ninoy Aquino International Airport (NAIA).

The only concern raised by the National Economic Development Authority (NEDA) was the company’s financial capacity to finance the project, Saavedra said.

Several lawmakers and groups have previously tried to disqualify Megawide from the NAIA modernization project, claiming that the company does not have the financial muscle to undertake the program.

But Megawide said it has already met capital requirements through its partnership with New Dehli-based GMR Infrastructure Limited.

GMR was also a Megawide partner in the development of the new terminals at Mactan Cebu International Airport and New Clark International Airport.

The Megawide-GMR consortium was granted “original proponent status” to improve NAIA last July, after the government canceled the offer of another consortium made up of the largest conglomerates in the Philippines.

Louie Ferrer, director of corporate and brand affairs for Megawide, said that “within the week we will present the financial requirements with the participation of GMR.”

If NEDA gives the green light, Ferrer said they hope to start the Swiss challenge for the project by the first quarter of 2021.

Meanwhile, Andrew Harrison, CEO of GMR-Megawide Cebu Airport Corporation (GMCAC) sought to allay concerns that around 14,000 people could lose their jobs once Megawide takes over NAIA.

Harrison said they will ask all NAIA employees to join them once they start operating the airport.

“NAIA employees have the capabilities, they are part of the solution,” he said.

Megawide-GMR proposes to address congestion at NAIA in 7 years or less by gradually expanding its capacity to 65 million passengers per year.

Before the pandemic, NAIA was struggling to accommodate 45 million passengers a year, which exceeds its current design capacity of 31 million passengers a year.

Megawide is also proposing to build a passenger rail link that would connect the airport terminals within the 650-hectare complex, as well as a bus rapid transit system.